Relocation of production is an operation by which a company transfers part or all of its production capacity from one country to another or from one city to another. It is a current problem for industrial and other business, a visible consequence of the globalization of the world economy. Moving the company is an activity that involves a high consumption of resources over a long period of time so it must be treated with great responsibility. Being a long-term decision, it must be supported by research to determine all the factors involved and the effect they, individually or in groups, have on relocation. The article aims to identify, group and eliminate overlaps between the criteria considered in the literature. The paper presents a different approach compared to other research. The factors that determine the relocation based on a large number of researches have been identified. Subsequently, the factors were synthesized into 8 groups. For each group the most important measurement indicator was selected taking into account a large number of variants. 12 Eastern European countries were selected for which data were accessed on the 8 criteria used from international databases. Statistical data processing led to a multiple regression equation that allows the determination of the score obtained by each state analysed. The scores thus obtained were statistically processed and a cubic equation was established. Such relationships allow the identification of solutions that states must undertake to attract investors. The results can be used by companies, regardless of their size, as a large number of scientifically proven factors have been taken into account.
The COVID-19 pandemic has created increasing uncertainty among companies and investors. As a result, it is necessary to investigate the behaviour of stock exchange mechanisms during the crisis generated by a virus. The purpose of the research is to determine the link between, the increase of the volatility of the shares on the Bucharest Stock Exchange and the specific stock market indicators during the COVID-19 pandemic. The dependent variables were standard deviation and simple moving average, and the variables considered were: PER, P/BV, EPS, DIVY, stock market capitalization and free-float. Data were collected regarding all the shares listed on the Bucharest Stock Exchange between 01.01.2020 and 01.03.2021. The study consists of two econometric models that allowed the identification of the links between the variables. The results obtained show that during the pandemic generated by Covid-19 the volatil-ity of the shares is not dependent on the variables considered. Of all the variables, only EPS has a statistically significant influence.
The spread of the Covid-19 virus on all continents has caused a rapid evolution of the volatility of stock indices. To prevent and counteract the effects of this global event, researchers have tried to identify the causes, amplitude, and persistence of volatility. To measure volatility using statistical models, most authors chose the number of illnesses or deaths caused by the Covid-19 virus. However, the method of recording and reporting the number of illnesses and deaths by each state, assumed certain shortcomings reported in the literature. As an alternative, Hale et al. (2021, p. 8) proposed the Government Response Stringency Index (SI). The research proposes the determination of volatility with GARCH and VAR methods using the SI index as a variable. For this purpose, 28 countries from all continents were considered. The analysis period was March 19, 2020 to December 31, 2021. The main findings are: 1) the determination of volatility for 28 analysed countries; 2) some countries show better adaptability to the pandemic; 3) the differences between the volatility calculated with the SI index and the number of illnesses or deaths are small; 4) the links between the markets are stronger in the postcrisis period. Based on these results, comparative analyzes can be carried out between states, geographical areas and continents. Furthermore, the results allow us to appreciate other major events that affected the world capital market.
BACKGROUND: The COVID-19 pandemic has changed companies’ perspective on relocation and brought uncertainty into people’s lives. Uncertainty, a decisive factor in today’s global environment, requires new research about human resources and companies. The COVID-19 pandemic has caused an unexpected need for change within organizations, especially in terms of human resources management, creating a complex and challenging environment that interferes with business continuity, forcing employees to cope with this challenging situation. OBJECTIVE: The article aims identifying the changes generated by the COVID 19 pandemic in the relocation of businesses from the European Union, assessing the relocation trends of companies around the world in European countries in this volatile macroeconomic environment. The sustainability of companies, the way they can overcome the crises generated by the pandemic depend mainly on economic, social, financial, political factors and human resource involved in the relocation process. Studying the influence of the pandemic on relocation decision contributes to better management of crises in the future and to reducing risks. METHODS: The study proposes an integrated ANP-TOPSIS (Analytic Network Process- Technique for Order of Preference by Similarity to Ideal Solution) for ordering preference according to the ideal solution framework. Priority should be given to solutions that consider the interactions between factors involved in decision-making. The proposed model will increase the efficiency of the transfer decision-making process and help managers choose solutions effectively based on their importance and impact on the company and the human resources involved. RESULTS: The synthesis of the indicators and methods used, in addition to the factors that affect relocation, complements the specialized literature. The results showed a shift in business relocation options from east to west, demonstrating the current trend in the relocation issue associated with the COVID-19 virus. Eastern European countries are no longer as attractive for companies relocating compared to the pre-pandemic period. The countries with more stable economies, characterized by lower risks, seem to become more attractive to companies that relocate their facilities. CONCLUSIONS: The strategic positioning of the firm, its growth or adaptation to the present environment, and its geographic focus are fundamental components of a company’s migration. The selection of an ideal site is a research problem; not only to find a place where firms will have access to qualified human resources, to lower their costs, to be close to raw materials or the market, but also to prevent associated relocation hazards. According to research, today’s reality necessitates a risk-focused strategy.
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